AMZN Valuation

Amazon.com Inc

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227.630

-3.85(-1.663%)1D

Overview
Forecast
Valuation
Earnings

AMZN Relative Valuation

AMZN's fair value is calculated using relative valuation, based on historical P/E and P/S ranges and their premiums/discounts relative to a competitor average, adjusted by weights. If the market price exceeds this fair value range, AMZN is overvalued; if below, it's undervalued.

Historical Valuation

Amazon.com Inc (AMZN) is now in the Overvalued zone, suggesting that its current forward PS ratio of 3.33 is considered Overvalued compared with the five-year average of -15.24. The fair price of Amazon.com Inc (AMZN) is between 164.94 to 230.95 according to relative valuation methord. Compared to the current price of 231.48 USD , Amazon.com Inc is Overvalued By 0.23%.

Relative Value

Fair Zone

164.94-230.95

Current Price：231.48

0.23%

Overvalued

32.92

Trailing

Forward

14.13

EV/EBITDA

Amazon.com Inc. (AMZN) has a current EV/EBITDA of 14.13. The 5-year average EV/EBITDA is 16.84. The thresholds are as follows: Strongly Undervalued below 7.57, Undervalued between 7.57 and 12.21, Fairly Valued between 21.48 and 12.21, Overvalued between 21.48 and 26.12, and Strongly Overvalued above 26.12. The current Forward EV/EBITDA of 14.13 falls within the Historic Trend Line -Fairly Valued range.

28.90

EV/EBIT

Amazon.com Inc. (AMZN) has a current EV/EBIT of 28.90. The 5-year average EV/EBIT is 50.84. The thresholds are as follows: Strongly Undervalued below 0.34, Undervalued between 0.34 and 25.59, Fairly Valued between 76.09 and 25.59, Overvalued between 76.09 and 101.34, and Strongly Overvalued above 101.34. The current Forward EV/EBIT of 28.90 falls within the Historic Trend Line -Fairly Valued range.

3.33

Amazon.com Inc. (AMZN) has a current PS of 3.33. The 5-year average PS is 2.82. The thresholds are as follows: Strongly Undervalued below 1.64, Undervalued between 1.64 and 2.23, Fairly Valued between 3.41 and 2.23, Overvalued between 3.41 and 4.01, and Strongly Overvalued above 4.01. The current Forward PS of 3.33 falls within the Historic Trend Line -Fairly Valued range.

15.55

P/OCF

Amazon.com Inc. (AMZN) has a current P/OCF of 15.55. The 5-year average P/OCF is 17.40. The thresholds are as follows: Strongly Undervalued below 6.66, Undervalued between 6.66 and 12.03, Fairly Valued between 22.77 and 12.03, Overvalued between 22.77 and 28.14, and Strongly Overvalued above 28.14. The current Forward P/OCF of 15.55 falls within the Historic Trend Line -Fairly Valued range.

94.63

P/FCF

Amazon.com Inc. (AMZN) has a current P/FCF of 94.63. The 5-year average P/FCF is 38.00. The thresholds are as follows: Strongly Undervalued below -36.61, Undervalued between -36.61 and 0.70, Fairly Valued between 75.30 and 0.70, Overvalued between 75.30 and 112.61, and Strongly Overvalued above 112.61. The current Forward P/FCF of 94.63 falls within the Overvalued range.

Amazon.com Inc (AMZN) has a current Price-to-Book (P/B) ratio of 7.39. Compared to its 3-year average P/B ratio of 7.88 , the current P/B ratio is approximately -6.17% higher. Relative to its 5-year average P/B ratio of 10.46, the current P/B ratio is about -29.32% higher. Amazon.com Inc (AMZN) has a Forward Free Cash Flow (FCF) yield of approximately 0.55%. Compared to its 3-year average FCF yield of 0.69%, the current FCF yield is approximately -20.63% lower. Relative to its 5-year average FCF yield of 0.40% , the current FCF yield is about 35.53% lower.

7.27

P/B

Median3y

7.88

Median5y

10.46

0.55

FCF Yield

Median3y

0.69

Median5y

0.40

Competitors Valuation Multiple

The average P/S ratio for AMZN's competitors is , providing a benchmark for relative valuation. Amazon.com Inc Corp (AMZN) exhibits a P/S ratio of , which is NaN% above the industry average. Given its robust revenue growth of 13.33%, this premium appears unsustainable.

P/S

P/E

EV/EBITDA

EV/EBIT

P/S

Revenue Growth

Market Cap

Alibaba Group Holding Ltd

Performance Decomposition

Market capitalization of AMZN increased by 22.16% over the past 1 year. The primary factor behind the change was an increase in Margin Expansion from 9.11 to 10.83.

The secondary factor is the Revenue Growth, contributed 13.33%to the performance.

Overall, the performance of AMZN in the past 1 year is driven by Margin Expansion. Which is more sustainable.

13.33%

147.98B → 167.70B

Revenue Growth

18.88%

9.11 → 10.83

Margin Expansion

-10.05%

38.60 → 34.72

P/E Change

22.16%